One fuel gets cheaper, another climbs as oil market remains volatile

National

GASOLINE may get cheaper, but diesel users could be in for a price shock next week as oil markets remain on edge.

After the first four trading days, estimates point to a possible decrease of around P0.80 per liter for gasoline, an increase of around P2.50 per liter for diesel, and a rise of around P1.80 per liter for kerosene.

According to an ABS-CBN report, oil firm Jetti Petroleum said in a statement that global oil prices continued to rise due to renewed concerns over possible supply disruptions after the United States launched strikes on Iran on July 9.

Iran later responded with attacks targeting US infrastructure in neighboring Gulf states.

The surge in global oil prices following the US-Israeli attacks on Iran has been cited as one of the factors contributing to higher inflation pressures in the Philippines since March.

Although analysts expect oil shipments through the Strait of Hormuz to normalize, they said fuel prices could still take months to return to levels recorded before the Middle East conflict.

Fuel costs remain a key factor being monitored for their impact on inflation, particularly through transportation expenses.

Inflation eased to 6.4 percent in June, but National Statistician Denni Mapa said the Middle East conflict could continue to affect the country’s inflation outlook as transportation costs remain a major contributor to overall price movements.(MyTVCebu)